Successful organisations will have an overall business plan and business objectives for both the short, medium and long term to ensure continued business success and growth. An employee’s performance is therefore intrinsically linked to the overall success of the business and an employees performance objectives should therefore be aligned to and reviewed in-conjunction with the overall business plan. What are the key factors to having an effective Performance Management programme?
- STEP1 - A Performance Review Process – this should be a documented, objective and evaluation process that includes;
- goal/objectives setting
- performance criteria/measurement
- regular performance review and feedback that is ‘two-way’
- development needs
- employee recognition
The process should clearly demonstrate an employee’s progress and if undertaken correctly and with care and understanding, helps the employee to see how their job role and expected contributions fit within the bigger picture of their organisation.
- STEP 2 - Manager’s knowledge of and ability to action the process – any supervisor or manager that is undertaking a performance review needs to fully understand their role and responsibilities in the process and why the process is so critical to the organisation. They also need to be able to;
- set SMART objectives aligned to the business needs
- track and measure achievements
- undertake a performance review meeting with the use of the ‘right’ questions
- provide objective and motivational feedback
- manage an employee’s performance
- plan for development needs
- address underperformance
- STEP 3 - Employee’s knowledge and understanding of the process – all employees need to understand the vision and objectives of the business and how their role fits into the bigger picture. This will make them feel more connected and engaged, as they know what is expected of them and how they are contributing to the organisation. They also need to know;
- what the performance review process is and how it works
- what their responsibilities are in the process and those of their line manager
- what SMART objectives are
- how to self evaluate and measure achievements
- how to identify their strengths and development needs
Documented performance evaluations are communication tools that ensure that both the supervisor and reporting staff members are clear about the requirements of the employee’s job. The evaluation also communicates the desired outcomes or outputs needed from each employee’s job and defines how they will be measured.
Effective Performance Management is a critical process that adds significant advantages to organisations as well as clear benefits to both the manager and the employee. It is a strong communication tool that will enhance both individual, team and business performance.
If you want to learn more about introducing a Performance Management process or assistance in evaluating the success of your current process and how it can be enhance and refined, contact us.